Those that celebrated the passing of Arafat as a turning point were either short-sighted or full of shit. The energy and vitriol that was expended demonizing Arafat has now been turned towards Abbas and Palestinians in general in a somewhat less focused manner. The terrible things that were blamed on Arafat have continued to occur with much less stability in the Palestinian power structure.
As a sub-topic, the repeated assertion that Israel has left Gaza and what happens there is up to the Palestians has been thoroughly debunked. Israel still has a presence in Gaza controlling the border crossings (yes, even the border with Egypt), airspace and seaboard.
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